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NS&I, banks and building societies - the difference

Banks and building societies are private organisations. When you save with a bank or building society, your money is usually reinvested to make a profit, which is then shared between the organisation's shareholders and/or members.

NS&I is a government department offering savings and investments to the general public. It is not like saving with a bank or building society. Instead, you are lending money to the government to finance public spending. In return, the government pays interest, stock market linked returns or prizes for Premium Bonds.

Types of NS&I savings and investments

NS&I offers a range of savings and investments. These are split into the following categories:

Tax-free

As well as its Direct ISA, NS&I has a range of investments with no UK Income Tax or Capital Gains Tax to pay on returns.

• More about tax-free savings from NS&I Opens new window

Income products

A choice of fixed-rate or variable-rate investments paying the interest as monthly income.

• More about income products Opens new window

Simple savings accounts

Straightforward savings accounts for any purpose.

• More about savings accounts Opens new window

View the full range

In addition to the above types of products, NS&I has other products within the range which may be of interest to you.

• More about NS&Is full range Opens new window

Register for updates with NS&I

It’s worth bearing in mind that some of NS&I’s investments are not always on general sale. They are only available in limited Issues. You can make sure you always hear the latest from NS&I, including information about the release of new Issues, interest rate changes, news and competitions. Simply follow the link below and register to receive NS&I’s email updates.

• Request updates from NS&I Opens new window

Further information

The number of products available and their details change from time to time. You can get the latest information by visiting the NS&I website. Alternatively, you can call NS&I customer enquiries free on 0500 007 007, from 7.00 am till midnight, seven days a week. Calls from mobiles and some landline providers may not be free. Calls may be recorded.

If you believe that you may hold an investment which is no longer being sold by NS&I and would like further information, then please visit the 'Products no longer on sale' page on the NS&I website below.

• Current products offered by National Savings and Investments Opens new window

• Visit the NS&I website Opens new window

• NS&I products no longer on sale Opens new window

Deciding whether to invest with NS&I

If you are looking for somewhere to save that guarantees that your savings are secure, NS&I may be a good choice. However, you may need to consider other savings and investment options if you'd prefer to accept some risk for the chance of higher returns.

To help you with your decisions you may want to visit 'You & your money', a website brought to you by NS&I containing practical independent financial information (see the link below). It offers simple jargon-free resource on personal finance.

You can also pick up brochures summarising some of the key sections from the site in selected WHSmith stores.

Whatever your circumstances it is important you consider all the options available before you decide where to put your savings. If in any doubt, consult an independent financial adviser.

• Choosing and using a financial adviser

• More about savings - Money Advice Service Opens new window

• Visit You & your money Opens new window

Opening an account

If you decide you do want to go ahead and save with NS&I, visit the NS&I website and use the online guide to help find the best savings product for you.

• NS&I online guide 'Need help to decide?' Opens new window

You can also call NS&I customer enquiries free on 0500 007 007, from 7.00 am till midnight, seven days a week. Calls from mobiles and some landline providers may not be free. Calls may be recorded.

You can open an account or invest:

• online
• by telephone
• by post
• in person at Post Office branches

Some exclusions may apply - visit the NS&I website for further information.

More useful links

• Tax on bank and building society accounts

• Saving and investing with ISAs

• More about bank and building society interest from HMRC Opens new window

• Guide to tax on bank and building society interest (PDF document, 564K) Opens new window

• Help with PDF files

Useful contacts

• Money, tax and benefits contacts

• Free help and advice